"What were they blocking that I need to allow?"
I have not used Kerio but see if you have some setting to allow traffic from the LAN (your local network) while firewalling the WAN (the internet). I understand Kerio to be a nice consumer product so would expect them to have some GUI interface for allowing Windows file and printer sharing over your local area network.
To answer your concerns:
"What would turning the Guest Account on do? Why should I need to do that?"
Was asking if you followed instruction on adding the same username on both boxes, which allows you to password protect shares as suggested earlier, or turning on the guest account, which is insecure but works.
"I cannot browse the laptop from my desktop, thats not my goal."
"Yes I know how to use ipconfig and ping each computer from cmd."
In the future, should you have connection problems, you should ping the router and to/from the problem computer, to verify everything sees everything else.
"I have never done networking before thats why I posted here for help Smile
The internet (Phone line) plugs into the modem, which plugs into the router. From the router it takes a line to the desktop, and a wireless "line" to the laptop."
Your wireless router is routing. I know of people who use internet conection sharing through Windows despite having a router, and this can cause issues -- "network path not found" is commonly a DNS issue.